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Vanguard Calls Crypto ‘Immature, Speculative’ and Not an Investment

Vanguard Calls Crypto 'Immature, Speculative' and Not an Investment

Vanguard is a prominent American investment management company known for its low-cost mutual funds and exchange-traded funds (ETFs). It is one of the largest investment companies in the world, both in terms of assets under management and the variety of funds it offers.

The investment firm has made a definitive stance against incorporating cryptocurrency-related products, including a Bitcoin ETF, into its offerings. Vanguard claims that the decision, outlined by Janel Jackson, Global Head of ETF Capital Markets and Broker & Index Relations, and Andrew Kadjeski, Head of Brokerage & Investments, reflects Vanguard’s commitment to long-term investment strategies and its cautious approach towards speculative assets.

In an article published on the website on January 24, the two executives explained their firm’s reasoning for rejecting the idea of offering any kind of crypto-related investment products, such as a spot Bitcoin ETF:

Here’s full explanation from Vanguard on not allowing spot bitcoin ETFs on platform…

“It’s an immature asset class that has little history, no inherent economic value, no cash flow, and can create havoc within a portfolio.”

— Nate Geraci (@NateGeraci) January 27, 2024

Featured Image via Pixabay


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